The Analytics of Uncertainty and Information

This second edition, with a greater focus on game theory, attempts to unify recent developments in economic theories of uncertainty and information for students.

Part I: 1. Elements of decision under uncertainty; 2. Risk-bearing: the optimum of the individual; 3. Comparative statics of the risk-bearing optimum; 4. Market equilibrium under uncertainty; Part II: 5. Information and informational decisions; 6. Information and markets; 7. Strategic uncertainty and equilibrium concepts; 8. Informational asymmetry and contract design; 9. Competition and hidden knowledge; 10. Market institutions; 11. Long-run relationships and the credibility of threats and promises; 12. Information aggregation, transmission, and acquisition.